New Delhi/Seville – Union Finance and Corporate Affairs Minister Nirmala Sitharaman highlighted the positive impact of India’s tax reforms and digital transformation on revenue generation and compliance costs during her address at the Third Plenary Meeting of the #FFD4 conference in Seville, Spain.
Speaking at the international forum on Financing for Development, Sitharaman stated, “India’s comprehensive tax reforms and digital transformation in tax administration have led to increased revenue and reduced compliance costs.” She emphasized the country’s support for international cooperation to modernize tax systems and combat illicit financial flows.
The Finance Minister noted that India’s financial policies are designed to promote innovation and stability while ensuring inclusivity. “Optimal regulation fosters both innovation and stability. Our system facilitates easier credit access and lower compliance burdens, especially for Micro, Small and Medium Enterprises (MSMEs),” she said. She also highlighted the vibrant ecosystem India has cultivated for start-ups and public-private partnerships (PPPs), particularly in the infrastructure sector.
Reaffirming India’s commitment to global development, Sitharaman called for reforms in the international financial architecture, including Multilateral Development Banks (MDBs) and global credit rating mechanisms, to enhance fairness and inclusivity. “MDB lending must align with long-term development goals and be backed by strong monitoring systems to ensure accountability,” she said.
She also underlined India’s people-centric approach to development. “Through targeted policy measures, we have lifted 250 million people out of multidimensional poverty and empowered communities through inclusive Digital Public Infrastructure (DPI),” she added.
However, she stressed that national progress must be supported by a conducive international environment. “Robust global growth requires coordinated international support. We advocate for South-South and Triangular Cooperation and urge developed countries to scale up predictable, accessible, and concessional climate finance, especially for adaptation efforts in vulnerable regions,” she said.
Quoting India’s ancient philosophy of ‘Vasudhaiva Kutumbakam’ (The World is One Family), Sitharaman urged nations to come together to drive inclusive global development.
Reflecting on the decade since the Addis Ababa Action Agenda was adopted, the Finance Minister acknowledged the progress made but pointed to significant ongoing challenges. “With many Sustainable Development Goals (SDGs) off track and a financing gap of over USD 4 trillion annually for developing countries, the need for urgent and transformative global action is more pressing than ever,” she concluded.
